BREAKING: Michigan Gov Signs Revamped Medicaid Work Requirements

Michigan Gov. Rick Snyder delivers his State of the State in the House of Representatives Chamber on Jan. 23, 2018, at the State Capitol in Lansing, Mich. (Junfu Han/Detroit Free Press/TNS)
Michigan Gov. Rick Snyder delivers his State of the State in the House of Representatives Chamber on Jan. 23, 2018, at the State Capitol in Lansing, Mich. (Junfu Han/Detroit Free Press/TNS via Getty Images)
|
June 22, 2018 3:53 p.m.

On Friday, Michigan Gov. Rick Snyder (R) signed a strict Medicaid work requirement passed by the state’s GOP-controlled legislature. Under the new law, Michigan will join the dozen states who are actively seeking or have already received a waiver from the Trump administration to implement the new rules — which are expected to drop hundreds of thousands of people from the Medicaid rolls.

Michigan’s bill was significantly rewritten after the first version came under fire for having a significant racially disparate impact. Under the original proposal, people living in counties with unemployment rates above 8.5 percent would have been exempt from the work requirement. Those counties were overwhelmingly white, rural, and Republican. Low-income residents of color in Detroit and Flint, where the joblessness and poverty are extremely high, would not have received an exemption, because the wealthier suburbs surrounding those cities pulled the overall county unemployment rate below the threshold.

The blowback to that plan prompted Michigan lawmakers to make revisions, including the elimination of any exemptions for people in places where it is difficult to find a job.

“They can avoid the disparate impact by leveling up or leveling down, and they chose to level down,” Nicholas Bagley, a law professor at the University of Michigan who specializes in health policy, told TPM. “They could have chosen to extend the same solicitude they had for people in rural areas with high unemployment to people in cities with high unemployment, but did not do so. I think it speaks to how punitive this law will be for many people. You’re telling people to find work where there is no work to be had.” 

The revised law requires adult Medicaid enrollees who do not have a disability to work at least 20 hours per week in order to maintain their insurance. If they cannot find a job, they can complete community service to fulfill the requirement, but only for three months each year.

More than half a million people in Michigan would be subject to the new requirements, and as many as 54,000 people could lose their coverage as a result.

And if the Trump administration were to deny Michigan’s request for a waiver to implement the work requirement, or if a court were to strike them down as illegal under the Medicaid statute, the state is threatening to roll back their Medicaid expansion.

Introducing
The TPM Journalism Fund: A New Way To Support TPM
We're launching the TPM Journalism Fund as an additional way for readers and members to support TPM. Every dollar contributed goes toward:
  • -Hiring More Journalists
  • -Providing free memberships to those who cannot afford them
  • -Supporting independent, non-corporate journalism
Are you experiencing financial hardship?
Apply for a free community-supported membership
Comments
advertisement
Masthead Masthead
Founder & Editor-in-Chief:
Executive Editor:
Managing Editor:
Senior Editor:
Special Projects Editor:
Editor at Large:
General Counsel:
Publisher:
Head of Product:
Director of Technology:
Associate Publisher:
Front-End Developer:
Senior Designer:
SPECIAL DEAL FOR PAST TPM MEMBERS
40% OFF AN ANNUAL PRIME MEMBERSHIP
REJOIN FOR JUST $30